Ike A Info

how IKEA is organised

The founder of IKEA, Ingvar Kamprad, has been eager to create an ownership structure and organisation that stand for long-term independence and security. The IKEA Group is owned by a foundation, Stichting INGKA Foundation , which is registered in the Netherlands. The foundation owns INGKA Holding B.V. the parent company for all IKEA Group companies - from the industrial group Swedwood to the sales companies that own the stores in the various countries. Inter IKEA Systems B.V., the owner of the IKEA concept and trademark, has franchising agreements with every IKEA store in the world. The IKEA Group is the biggest franchisee of Inter IKEA Systems B.V.

how the IKEA Group works

A low price is the result of a methodical, systematic approach from initial idea through product development, supply, distribution and retail all the way to the customerÒ's home. Many pieces of the jigsaw have to fit together before a product is in place in the store. The key to success is close cooperation between designers, product developers, purchasers, suppliers - and our customers.

Group Support Functions

Work within the IKEA group is supported by a total of nine staff units in the Netherlands (IKEA Services B.V) and Sweden (IKEA Services AB).

Experts and economies of scale

Decentralisation is the maxim at IKEA, but to fully exploit the economy of scale and keep prices low, experts in central positions deal with certain key areas from the food served in the store restaurants to the production of the IKEA catalogues.

IKEA IN THE WORLD

The IKEA group has 84,000 co-workers and operates in 44 countries.

Range

IKEA of Sweden in Ð"lmhult, Sweden, develops the IKEA range. This is the same for IKEA stores all over the world and consists of 10,000 articles. The basic thinking behind all work with the range is to use low prices to make well-designed, functional home furnishings available to everyone. Products designed by in-house and external designers are analysed while still on the drawing board to ensure they meet the requirements for function, efficient distribution, quality, the environment and low price.

IKEA of Sweden also gives each product its unique name, such as BILLY and KLIPPAN.

Industry